Mortgage fees row MP 'was misled'

http://news.bbc.co.uk/go/rss/-/1/hi/england/merseyside/8059276.stm

Version 0 of 1.

A Wirral Labour MP has hit back in the row over his mortgage expenses, insisting he has "done nothing wrong".

Ben Chapman said the party was standing by him despite Daily Telegraph reports he claimed £15,000 in allowances for a mortgage he no longer paid.

In a statement, the Wirral South MP said he had been "misled" by the Commons fees office and had "no intention" of claiming overpayments.

He said the office had told him their advice at the time was "incorrect".

A Parliamentary Labour Party (PLP) inquiry is ongoing into claims Mr Chapman was given permission to claim the allowances for the mortgage interest.

It is clear that I was misled by the Fees Office into the arrangement in question Ben Chapman, Wirral South MP

But Mr Chapman has insisted that press reports he is facing suspension were wide of the mark.

"There has never been, to the best of my knowledge, any suggestion of any of these measures," said Mr Chapman.

"I have carried on voting and carrying out my duties in the House and on the Intelligence and Security Committee and of course working to the best of my abilities for my constituents."

According to Mr Chapman, a letter he has received from the fees office states that advice he was given in 2002 concerning repayment of part of his mortgage was "incorrect".

Overpayment query

"It is clear that I was misled by the Fees Office into the arrangement in question," said the MP.

"Neither I nor the allowances system is perfect, but in this instance as I have always said, I do not believe I have done anything wrong. I relied on advice given."

According to the Telegraph, correspondence showed the MP sought and was given permission to reclaim the interest payments on the full value of his original mortgage, despite paying off £295,000 of the loan in 2002.

However, the fees office may yet conclude that he remained within his overall limit under his additional cost allowance (ACA) in 2002/03 and 2003/04.

Mr Chapman said the office had informed him it was not clear if he had, in fact, been overpaid and the matter was "still being looked into".